Australia Bond Update
All about the Sydney cafe and Steven Wozniak turning Aussie.
Bloomberg Commodity Index at a 5 year low, AUDUSD nearing its 5 year low of 0.8067.
The good news is that iron ores have halted their decline, closing the week off their lows.
The RBA minutes did little for the market as compared to what the FOMC did for the world.
On the bond market front, statistics show that AUD bond issuance has surged to the highest on record, up 48% on the year to >A$40 bio, led by a very strong international investor field.
Most banks are calling for further weakness in the AUD due to terms of trade to weigh on the currency, along with the risks of Chinese slowdown which would be a drag on the economy.
I remain bullish and trade from the long side.
Leaving with the bond prices (indicative).